Cloud Computing: VMware Invests $30 Million In Puppet Labs
Grazed from InformationWeek. Author: Charles Babcock.
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Two years ago, VMware made a small, tentative investment in OpenStack collaborator Puppet Labs, as one of six investors providing the firm with $8.5 million. Wednesday, VMware extended its support with another $30 million investment in Puppet, and there is a string attached.
VMware will appoint one of its executives to the Puppet Labs board, as happens frequently in cases of major venture capital investments. VMware was not prepared Wednesday to name who will fill the seat. But the increased funding from the virtualization market leader clearly shows it has a more direct interest in the open source code firm’s work this time around; it’s seeking a closer alignment of their respective product lines, not to mention a rapprochement with the open source community…


Microsoft is rumored to be in talks to invest as much as $3 billion in Dell’s much-hyped buyout, according to various sources, leaving observers scratching their heads as to what the software giant would possibly have to gain from owning a significant chunk of the struggling hardware maker. One possibility: Microsoft needs a hardware partner to further its cloud ambitions and take on Google, and cloud-focused Dell could fit the bill.